🎢 The Market's Crystal Ball

In simple terms, the expected move is the market's best guess of how much a stock or ETF will move in a given timeframe. It's derived from options prices and gives us a range where the stock is likely to trade. Think of it as the market's mood ring. When the expected move is high, the market's feeling jittery. When it's low, it's all chill vibes. 🍹

The expected move is calculated using the price of at-the-money options. Sounds complicated? It's not. It's just the market's way of saying, "Hey, based on what traders are willing to pay for options, here's where we think the stock's gonna be." 🤷‍♂️

Based on the expected move charts (which you'll see below), both SPY and QQQ have some interesting days ahead. Especially with all of the inflation data incoming. Whether they'll rocket to the moon or take a nosedive, the expected move gives us a ballpark figure. Remember, it's not a guarantee, just the market's best-educated guess. So, always be prepared for some surprises! 🎉

The expected move is a tool, not a prophecy. It's like the weather forecast. Most days, it's right. Some days, you end up with a sunburn in the rain. But if you're looking to gauge the market's temperature, the expected move is your thermometer. Just remember to always do your homework and never bet the farm on any single prediction. 🚜

Lululemon has been as flexible as its yoga pants, adapting to market changes and showing some interesting patterns. Here's what I'm seeing:

• Support & Resistance: LULU has broken out past its $387.83 resistance. If this pulls back, you want to look for a classic break and retest.

• Trendlines: The stock has been following an upward trendline, but watch out for any potential breaks which could signal a change in direction.

• Indicators: The MACD is trying to complete a bullish crossover and the RSI recently broke its down trendline. Look to these for signs of momentum and strength. The 5 Week SMA also aligns well with the $387.83 level so be on the lookout for signs of demand there.

Trade Idea: If LULU holds above $387.83 with strong volume, consider going long with a stop below the recent low. If it breaks its trendline to the downside, a short position might be on the cards.

Home Depot has been the go-to for DIY enthusiasts, but what's the stock doing? Let's drill down:

• Support & Resistance: HD has a strong support level at $320.97 and has faced resistance around $332.94. A move beyond these levels could be significant.

• Trendlines: HD's trend has been bullish since May and has been consolidating recently after breaking its down trendline.

• Indicators: Price closed on top of the 5 Week SMA, look for this to hold above to indicate bullish momentum.

Trade Idea: If HD shows strength and breaks above its recent resistance, a long position could be lucrative. However, if it breaks below its support, consider a short position with a tight stop.

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